News Article
Strong growth forecast for Chinese semiconductor market
The mainland China semiconductor market will grow by 73% to US$45 billion annually by 2008, according to new figures from market analyst the International Data Corp.
The mainland China semiconductor market will grow by 73% to US$45 billion annually by 2008, according to new figures from market analyst the International Data Corp.
The company believes that the strong growth that made the country the third largest semiconductor market in 2004 (with sales of US$26 billion) will continue in coming years.
Despite increasing trade reform in the worlds most populous nation, it is government polices – rather than natural capitalist expansion – that is driving the growth in the Chinese semiconductor sector.
According International Data Corp, the governments actions have encouraged more than US$9.3 billion in capital investments in the semiconductor industry since 2000 - another US$4.5 billion is expected in 2005.
Thanks to this investment, China accounted for 12% of all semiconductor foundries in 2004 – up from 7% in 2003. The countrys largest foundry – SMIC – has a 6% share of the market.
The company believes that the strong growth that made the country the third largest semiconductor market in 2004 (with sales of US$26 billion) will continue in coming years.
Despite increasing trade reform in the worlds most populous nation, it is government polices – rather than natural capitalist expansion – that is driving the growth in the Chinese semiconductor sector.
According International Data Corp, the governments actions have encouraged more than US$9.3 billion in capital investments in the semiconductor industry since 2000 - another US$4.5 billion is expected in 2005.
Thanks to this investment, China accounted for 12% of all semiconductor foundries in 2004 – up from 7% in 2003. The countrys largest foundry – SMIC – has a 6% share of the market.
